Mexico vs Chile
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π²π½ Mexico β State & Municipal Taxes
Mexico's 31 states and Mexico City each have their own regimes. States charge local payroll tax (Impuesto Sobre NΓ³mina) at 1%β4% (employer-paid). Municipal property tax (predial) rates vary significantly. Some states have lodging and entertainment levies. The Maquila sector benefits from special IMMEX programs. Nearshoring boom is driving new investment.
π¨π± Chile β Municipal & Regional Taxes
Chile's 16 regions and 346 municipalities do not levy separate income taxes. Municipalities charge patente municipal (business licence fee) based on capital, typically 0.25%β0.5% of net equity/year, capped at ~$8,000 USD. Property tax (contribuciones de bienes raΓces) is national in structure but rates vary 0.075%β1.2% by property type. The SII (tax authority) is national. The Royalty Minero (mining royalty) is a significant revenue source in copper-producing regions.
Mexico vs Chile: Key Tax Differences (2026)
π° Income Tax: π¨π± Chile has a higher top income tax rate (1.92β35% vs 0β40%). π²π½ Mexico is more favourable for high earners.
π VAT/Sales Tax: Chile has a higher consumption tax (0β16% vs 19%).
π’ Corporate Tax: π¨π± Chile offers a lower corporate rate (27% vs 30%), which can influence business location decisions.
π Capital Gains: π¨π± Chile taxes investment gains at a lower rate (22% vs 35%), benefiting investors.